Creative Destruction and Copyright Protection, a paper by the London School of Economics' Bart Cammaerts and Bingchun Meng, is an eye-opening look at the economics of file-sharing and music. The authors argue that an overall decline in consumer entertainment spending is to blame for the music industry's downturn, supporting their assertion with (for example), research showing that entertainment spending declined by 40 percent in households that didn't own computers (who probably weren't downloading!) over the period of overall decline for the industry.
Their conclusion is that copyright enforcement won't bring back consumer spending on music -- but it will strangle new business models built on file-sharing, robbing the next generation of musicians without paying the current generation. The authors propose several business models, including allowing ISPs to buy unlimited, technology-neutral licenses on behalf of their users.
The authors of the study acknowledge that these alternative models are not going to impress SONY and EMI. "Compared to the value of the mainstream music market, dominated by the 'big four', these are relatively marginal activities," they observe.
Did file-sharing cause recording industry collapse? Economists say no
But they may become less marginal very soon. With world mobile data traffic set to explode by a factor of 26 by 2015, and with most people in the Middle East, Sub-Saharan Africa, and South/Southeast Asia expected to link to the mobile 'Net before they get electricity, file sharing could be poised for a second great leap forward, whether Big Content approves of it or not.
These millions of new Netizens are not going to have the money to buy digital music files. They're going to use BitTorrent. That will put more and more pressure on governments to decide whether they want to criminalize a huge portion of humanity, or encourage the market to adapt to the new "ephemeral" models described by this study and others.
In Does The Online Card Payment Landscape Unwittingly Facilitate Fraud?, a new paper in IEEE Security & Privacy, researchers from the University of Newcastle demonstrate a technique for guessing secruity details for credit-card numbers in six seconds — attackers spread their guesses out across many websites at once, so no website gets enough bad guesses […]
Michael Geist writes, “The global music industry has spent two decades lobbying for restrictive DMCA-style restrictions on digital locks. These so-called “anti-circumvention rules” have been actively opposed by many groups, but the copyright lobby claims that they are needed to comply with the World Intellectual Property Organization’s Internet treaties. Now the head of the RIAA […]
The smirking, villainous pharma-hedge-douche-bro Martin Shkreli (previously) bought the rights to the anti-parasitic drug Daraprim — used to treat malaria, a disease that disproportionately affects the poorest people in the world — and jacked the price from $13.50/dose to $750/dose.
Loot Crate is a totally different kind of subscription service that mails subscribers monthly boxes filled with curated geek, pop culture, and gamer paraphernalia. Its cult following awaits a box every month filled with everything from bobble heads to T-shirts to special edition collectibles. But nothing gets Loot Crate fans as excited as the limited […]
The ARMOR-X Mini Flexible Phone Tripod is a smartphone tripod that is designed with flexible legs to rest on virtually any type of surface. Other tripods have proved useless unless I conveniently have a flat surface in front of me, which is why this particular tripod was appealing enough to try out. The ARMOR-X is compact and easy […]
You don’t need to get an advanced degree and take out massive loans to become a coder. This bundle of 10 courses was designed to teach anyone to code at home for less than it costs to go out for dinner. I was particularly impressed with this new 2017 bundle because it includes courses on […]